Calif. Court Nixes Pipe Co.'s $55M Jury Award Against AIG

By Jeff Sistrunk (February 27, 2018, 8:57 PM EST) -- A California appeals court on Monday reversed a $55 million judgment that pipe-joining company Victaulic Co. won in its suit accusing three AIG units of denying coverage for product liability claims in bad faith, finding the trial court erroneously allowed certain documents to be admitted into evidence and mishandled a key witness.

In axing the massive jury award — which encompassed breach-of-contract, bad faith and punitive damages — a three-judge appellate panel in San Francisco sharply criticized a number of decisions by the trial judge, Alameda County Superior Court Judge Frank Roesch.

For starters, the appeals panel said Judge Roesch shouldn't...

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